UMP Announces 2016 Annual Results
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Introducing NWS Holdings as new partner of UMP Beijing

Revenue and operating profit of HK& Macau Businesses and PRC Health Check-up Business performed strongly

- Total number of patient visits increased to record high of 1.4 million visits for FY2016

- Revenue increased 13.7% year on year from HK$401 million in FY2015 to HK$456 million in FY2016

- Operating profit for HK& Macau businesses and PRC Healthcare check-up business increased 37% year on year from HK$42.2 million in FY2015 to HK$57.8 million in FY2016

Developing PRC Business - Shanghai and Beijing infrastructure in place

- Recognition of HK$17 million expenses for establishing Shanghai and Beijing clinic network

- Signed agreement to acquire partnership medical center in Pudong, expanding owned clinic network to 3 centers in Shanghai

- Beijing Fortune Plaza clinic ready to commence operations in October 2016

- Management team, doctors and clinical staff in place for both Beijing and Shanghai

Introducing NWS Holdings Limited as a new partner of UMP Beijing

- NWS Holdings Limited ("NWS Holdings"; Hong Kong stock code: 659), a main board listed company with market capitalization of over HK$50 billion, will subscribe for 20% share of UMP Phoenix Healthcare at a consideration of RMB55 million

- UMP Phoenix Healthcare will change name to UMP Healthcare (Beijing) Group Limited ("UMP Beijing")

- UMP Beijing will be owned as to 50% by UMP, 30% by Phoenix and 20% by NWS Holdings

- Strong strategic guidance from and financial support by NWS Holdings

- Transaction subject to independent shareholders' approval in November 2016

Reported net profit decreased but supported by strong operating cashflow

- Net profit decreased by 83.2% from HK$40.9 million in FY2015 to HK$6.9 million in FY2016 primarily due to recognition of one-off expenses, listing expenses and expenses incurred for the Developing PRC business

- Strong operating cashflow from HK& Macau businesses and PRC Healthcare check-up business; EBITDA for established business excluding Developing PRC Business increased 16.7% from HK$52.2 million in FY2015 to HK$60.9 million in FY2016

- Proposed dividend of HK$14.7 million for FY2016 (HK$2.0 cents per share)

(HONG KONG, 27 September 2016) UMP Healthcare Holdings Limited ("UMP", together with its subsidiaries, the "Group", HKEx stock code: 0722.HK), one of the leading corporate healthcare solutions providers in Hong Kong, announced its first annual result for the year ended 30 June 2016 (the "FY2016") following the successful listing on the Hong Kong Stock Exchange on 27 November 2015.

Financial and Operations Overview

UMP has been serving the Hong Kong community since 1990, delivering quality, affordable and accessible healthcare services through over 600 service points in Hong Kong. UMP is one of the leading corporate healthcare solutions providers in Hong Kong serving more than 1.4 million medical and dental patient visits annually. UMP partners with corporations and insurance companies in the design and administration of corporate healthcare benefits plans for, and provides healthcare services to, such members, employees and policyholders.

Against a backdrop of general economic slowdown, business has performed well and has delivered a year-on-year revenue growth of 13.7%, supported by a record high of 1.4 million patient visits. UMP's reported net profit however has decreased by 83.2% to HK$6.9 million in FY2016, primarily due to one-off expenses, listing expenses, equity settled share incentive expenses and investments made in the establishment of the developing PRC business. Business excluding developing PRC business have achieved strong operating profit growth across each business line. EBITDA excluding Developing PRC Business has achieved a record high of HK$60.9 million, representing a year-on-year increase of 16.7%. With such strong cashflow from operations, UMP has proposed a FY2016 final dividend of HK$14.7 million (HK2.0 cents per ordinary share).

Update on Shanghai and Beijing Operations

Shanghai

UMP's first new Shanghai clinic, UMP Xintiandi Medical Centre, has commenced operations in late July 2016, providing a range of services including family physicians, pediatrics, cardiology, dental and checkup services. UMP also started revamping its existing Shanghai Eaton medical centre (a site that current primarily provides health check-up business) with the aim to commence providing outpatient services in December 2016. In addition, UMP is also acquiring a clinic in the Pudong area. Upon completion of this acquisition, UMP will have three service points covering both Puxi and Pudong, laying down the foundation network for the provision of corporate healthcare services.

Beijing

UMP will also be opening its first new Beijing clinic, UMP Beijing Cai Fu Medical Centre in October 2016. Another two other clinics in Beijing are also in the final stage of licence application and expected to obtain their licences in first quarter of 2017. Similar to Shanghai, UMP is also revamping its existing Beijing Eaton clinic such that by first quarter of 2017, UMP will have four service points covering key business and residential regions in Beijing.

Introducing NWS Holdings as a new partner in UMP Beijing

UMP will introduce a new shareholder, NWS Holdings, to take up a 20% stake in its Beijing joint venture company, UMP Phoenix JV, at a consideration of RMB55 million. The transaction will be subject to shareholders' approval in November 2016. Upon completion, the joint venture shall be owned as to 50% by UMP, 30% by Phoenix and 20% by NWS Holdings. UMP Phoenix JV will be renamed as UMP Healthcare (Beijing) Group Limited ("UMP Beijing").

NWS Holdings, with a market capitalization of over HK$50 billion as at the date of this announcement, has been investing in the healthcare sector through its investment in Gleneagles Hong Kong Hospital, which is expected to commence operations in 2017. NWS Holdings has extensive experience and track record in establishing and managing new businesses in China through constructing and managing infrastructure businesses ranging from toll roads, ports to water treatment facilities. UMP believes that as it expands its operations in Beijing and in nearby regions, NWS Holdings' know-hows and business network in China and its financial strength will be invaluable in assisting UMP Beijing in such expansion.

Outlook

Hong Kong and Macau

With the expansion of its specialist and medical imaging services in Hong Kong, UMP will establish a Hong Kong-China-Macau outpatient and inpatient service network to provide individuals with bespoke healthcare management services and access to private and tertiary hospital referrals. UMP will work closely with corporations and medical insurance organizations on healthcare solutions and global budgets, and, with a mixture of caution, innovation and flexibility, strive to capture the largest healthcare services market share in this region.

China

The ongoing healthcare reform has encouraged greater private sector participation to provide a more diverse scope of medical services to the growing middle class population, and to reduce overcrowding in public facilities. UMP will build a strong primary healthcare workforce by offering career pathways for local medical and health workers with enhanced compensation, structured training and accreditation. Such strategy will help to alleviate the shortage of qualified family medicine doctors and importantly improve population's trust in the quality of care at the primary care level.

There is significant market potential for UMP to extend its corporate healthcare solution services to the PRC market. Over the past 20 years, UMP has accumulated significant experience in the design and administration of health plans with insurance companies, ultimately delivering a win-win situation where both insurance companies and a medical group like UMP are able to generate financial returns. Through UMP's accumulated knowhow, UMP will develop customized solutions that cater to both corporates and insurance companies.

UMP Chairman and Chief Executive Officer Dr. Sun Yiu Kwong, commenting on UMP's financial results and partnership with NWS Holdings said:

"We have delivered strong growth for our established businesses and are investing our capital in replicating our successful business model in China. UMP entered the China market 10 years ago through the establishment of our first healthcare centre in Beijing, and we have always been looking for opportunities to expand our presence. Our vision is to deliver quality healthcare solutions that are accessible and affordable to all.

We are very excited to welcome NWS Holdings as a new partner for our Beijing joint venture. NWS Holdings has extensive experience in conducting various businesses in China, ranging from infrastructure projects to strategic investments. We are confident that together with NWS Holdings and Phoenix Healthcare, UMP Beijing will be able to adapt and localise for the China market and deliver quality healthcare solutions to our clients in China."

NWS Holdings Senior Director Mr. Rufin Mak said: "This partnership underlines NWS Holdings' first step into the healthcare sector in Mainland China. Leveraging the extensive business network, strong operational experience and established brand of UMP and Phoenix Healthcare, we are confident that UMP Beijing will further expand and become a leading healthcare operator in China."
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About UMP Healthcare Holdings Limited
Based in Hong Kong, UMP Healthcare Holdings Limited (stock code: 0722.HK) is one of the leading corporate healthcare solutions providers in Hong Kong, serving more than 800,000 members and administering approximately 9,400 health plans. UMP handles more than 1.4 million medical and dental patient visits per year. UMP has a proven organic growth track record of over 20 years in Hong Kong and offers a comprehensive range of healthcare services through one of the largest service networks in Hong Kong, with more than 600 points of service across Hong Kong, Macau, Beijing and Shanghai. Leveraging its proprietary know-how and clinical management system, UMP is capable of designing differentiated, tailor-made solutions that address each contract customer's needs. UMP has partnered up with NWS Holdings (659.HK) and Phoenix Healthcare Group (1515:HK) to replicate its Healthcare Management Model for the Beijing market, and at the same time also replicating such business model on its own in Shanghai. UMP was listed on the main board of the Hong Kong Stock Exchange on 27 November 2015.

About NWS Holdings Limited
NWS Holdings Limited ("NWS Holdings", Hong Kong stock code: 659), the infrastructure and service flagship of New World Development Company Limited (Hong Kong stock code: 17), operates businesses in Hong Kong, Mainland China and Macau. Its Infrastructure portfolio includes Roads, Environment, Logistics and Aviation projects. Its Services portfolio comprises Facilities Management (the management of Hong Kong Convention and Exhibition Centre and Free Duty), Construction & Transport (construction, bus and ferry services) and Strategic Investments.

This press release is distributed on behalf of UMP Healthcare Holdings Limited by Anli Financial Communications Limited.

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